Time Versus Money: Differential Use of Heuristics

Ashwani Monga, University of Texas, San AntonioRitesh Saini, George Mason University

We experimentally demonstrate that decision making is more heuristic in situations that involve spending time rather than money. Relative to participants in the money condition, those in the time condition show a higher propensity to choose a compromise option, and rely on an arbitrary anchor. We also offer evidence for the underlying process.